0205 GMT - Keppel REIT's units appear undervalued, Morningstar equity analyst Xavier Lee writes in a note. The REIT's 3Q business update was in line with the brokerage's expectations, Lee says. Hiring and office leasing demand are expected to pick up gradually in 2025 as business sentiment improves, Lee adds. Keppel REIT is trading at an attractive 2025 dividend yield of 6.4% and remains Morningstar's top pick among Singapore REITs. The brokerage also likes the REIT for its high-quality office portfolio and reckons it will be a strong beneficiary of interest-rate cuts through 2025-2026. Morningstar maintains Keppel REIT's fair-value estimate of S$1.16. Units are last at S$0.92.(amanda.lee@wsj.com)
(END) Dow Jones Newswires
October 22, 2024 22:06 ET (02:06 GMT)
Copyright (c) 2024 Dow Jones & Company, Inc.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.